Mortgage Navigator • Conventional • Can This Be Done?

Non-Occupant Borrower

A parent or other co-borrower does not necessarily have to live in the home to help a primary-residence borrower qualify.

Build My Mortgage Game Plan Compare Fannie vs. Freddie

Fannie

Fannie permits non-occupant borrowers on purchase, limited cash-out and cash-out refinance transactions, subject to borrower and transaction requirements. A non-occupant borrower signs the note and has joint liability but does not occupy the subject property.

Occupancy

For a standard Fannie principal-residence transaction with multiple borrowers, generally only one borrower must occupy and take title unless another product rule imposes a stricter requirement.

High-LTV exception: Fannie's standard 95.01%–97% purchase framework generally requires all borrowers to occupy unless there is an eligible Community Seconds subordinate lien. Product-specific rules can therefore be stricter than the general non-occupant-borrower rule.

Official agency baseline

Fannie Mae Selling Guide · Freddie Mac Seller/Servicer Guide

These are agency-level rules. AUS findings, mortgage insurance, product restrictions and lender/investor overlays can still affect a real loan.